Pundix’s Token surges 130% in only two days after the CEO of the platform confirmed staking and token reduction so let’s read more in our latest altcoin news today.
In two days, the price of Pundix’s NPXS token increased by more than 130% on Binance and outperformed most of the cryptocurrneices on the exchange. However, there are three reasons analysts think the rally happened because of. The first one is the launch of token staking and the overall positive sentiment on the altcoin market, and the last, token reduction.
On March 13, the CEO of Pundix Zac Cheah confirmed that the token reduction and staking for the coin are happening later this month. When the supply of the token is reduced, it acts as a catalyst because it pushed the prices up as well as the demand. PundiX is reducing the token supply to a 1000:1 ratio and rebranded the native token from NPXS to PUNDIX. The rebranding also fueled the rise in interest in NPXS considering that the token is consolidating for a prolonged period of time. the token staking only amplifies the positive effects on the value because it will lead to more users to stake NPXS and refrain from selling once the token gets locked up, as Cheah explained:
“As scheduled, $npxs token reduction starts late March, followed by (immediately or few days later) token staking. Staking reward is USD100,000 + value weekly for ten weeks. Someone said it’s better to call our staking ‘DeFi farming’, so yea Pundi X DeFi farming is comin!”
Many cryptocurrencies saw a huge rally in the past few months after they introduced staking like Theta for example that introduced staking for its THETA token which coincided with the price of the token reaching an ATH. The altcoin markets are seeing more rallies across the board as the BTC price is now consolidating between $56K and $59K. The crypto market capitalization reached a new ATH of $730 billion which is about 50% than the one in 201. One analyst under the pseudonym Rekt Capital, explained that this is a perfect example of how the cycles in market work and said that the overall trend is still bullish:
“Altcoin Market Cap launched into new All Time Highs from the very same level that launched Altcoin Market Cap into new December 2017 All Time Highs. A perfect example of market cyclicality if there ever was one.”
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